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Introduction, Place of Registration of Warehouse, Procedure for warehousing of excisable goods removed from a factory or a warehouse.


Introduction
Place of registration of warehouse
Procedure for warehousing of excisable goods removed from a factory or a warehouse
Failure to receive a warehousing certificate
Accountal of goods in a warehouse
Responsibility of the registered person
Revoked or suspended registration of a warehouse
Warehouse to store goods belonging to the registered person
Registered person right to deal with the warehoused goods

Chapter 10
WAREHOUSING
Part-I
General

  1. Introduction

    1.1 Facility of warehousing of excisable goods without payment of duty has been provided in respect of the specified commodities by Notification No.47/2001CE(NT) dated 26th June, 2001. The Central Board of Excise and Customs has also specified detailed procedure including the conditions, limitations and safeguards for removal of excisable goods sub-rule (2) of Rule 20 of the Central Excise (No.2) Rules 2001 (hereinafter referred to as the said Rules)

    1.2 Any goods warehoused may be left in the warehouse in which they are deposited, or in any warehouse to which such goods have been removed, till the expiry of three years from the date on which such goods were first warehoused.
  2. Place of registration of warehouse

    2.1 Commissioner of Central Excise will specify the places under his jurisdiction where warehouse can be registered, by issuing Trade Notice. Any person desiring to have warehouse will get himself registered under the provisions of Rule 9 of the said Rules.
  3. Procedure for warehousing of excisable goods removed from a factory or a warehouse

    3.1 The consignor (i.e. the manufacturer or the registered person of the warehouse) shall prepare an application for removal of goods from a factory or a warehouse to another warehouse in quadruplicate in the specified Form (Annexure-25).

    3.2 The consignor shall also prepare an invoice in the manner specified in Rule 11 of the said Rules in respect of the goods proposed to be removed from his factory or warehouse.

    3.3 The consignor shall send the original, duplicate and triplicate application and duplicate invoice along with the goods to the warehouse of destination.

    3.4 The consignor shall send quadruplicate copy of the application to the Superintendent–in-charge of his factory or warehouse within twenty-four hours of removal of the consignment.

    3.5 On arrival of the goods at the warehouse of destination, the consignee (i.e. the registered person of the warehouse who receives the excisable goods from the factory or a warehouse) shall, within twenty-four hours of the arrival of goods, verify the same with all the three copies of the application. The consignee shall send the original application to the Superintendent-in-charge of his warehouse, duplicate to the consignor and retain the triplicate for his record.

    3.6 The Superintendent-in-charge of the consignee shall countersign the application received by him and send it to the Superintendent-in-charge of the consignor.

    3.7 The consignor shall retain the duplicate application duly endorsed by the consignee for his record.
  4. Failure to receive a warehousing certificate

    4.1 The consignor should receive the duplicate copy of the warehousing certificate, duly endorsed by the consignee, within ninety days of the removal of the goods. If the warehousing certificate is not received within ninety days of the removal or such extended period as the Commissioner may allow, the consignor shall pay appropriate duty leviable on such goods.

    4.2 If the Superintendent-in-charge of the consignor of the excisable goods does not receive the original warehousing certificate, duly endorsed by the consignee and countersigned by the Superintendent-in-charge of the consignee, within ninety days of the removal of the goods, weekly reminders must be issued by him to the Superintendent-in-charge of the consignee. If despite such reminders the original warehousing certificate is not received within a further period of sixty days of the expiry of the ninety days period, the Superintendent-in-charge of the consignor shall inform his Assistant Commissioner/Deputy Commissioner who shall either secure a satisfactory proof of the goods having been duly received by the consignee or ensure that the duty of excise due on the goods not received at destination is recovered from the consignor.
  5. Accountal of goods in a warehouse

    5.1 The registered person of the warehouse shall maintain a register showing all entries in to and removals of the goods from his warehouse and shall indicate the value, quantity of the goods removed, their marks and numbers as well as the rate of duty and amount of duty involved. The processes carried out on the warehoused goods, if any, shall also be recorded.

    5.2 The first and last pages of the register should be pre-authenticated by the owner of the warehouse or his authorised agent.
  6. Responsibility of the registered person

    6.1 The registered person of the warehouse shall be responsible for due reception of the goods in to the warehouse and delivery therefrom including their safety during the period they are lodged in the warehouse.

    6.2 The registered person shall be responsible for the payment of penalty or interest leviable in respect of the goods which are warehoused as per the provisions of the Central Excise Act, 1944 and the rules made thereunder.
  7. Revoked or suspended registration of a warehouse

    7.1 If the registration of a warehouse is revoked or suspended, the excisable goods lodged therein shall either be cleared for home consumption on payment of duty or shall be removed to another warehouse without payment of duty.
  8. Warehouse to store goods belonging to the registered person

    8.1 A warehouse shall be used solely for storing excisable goods belonging to the registered person of the warehouse alone. He shall not admit or retain in the warehouse any excisable goods on which duty has been paid;

    8.2 The Commissioner of Central Excise having jurisdiction over the warehouse may permit storage of excisable goods along with the excisable goods belonging to another manufacturer;

    8.3 The Commissioner of Central Excise having jurisdiction over the warehouse may permit the registered person of the warehouse to store duty paid excisable goods or duty paid imported goods along with non-duty paid excisable goods in the warehouse.
  9. Registered person right to deal with the warehoused goods

    9.1 The owner of the warehouse may sort, separate, pack or re-pack the goods and make such alterations therein as may be necessary for the preservation, sale or disposal thereof.

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